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    Human Relations

    DOI: 10.1177/00187267060641812006; 59; 379Human Relations 

    Emmanuel Ogbonna and Lloyd C. Harrisworkforce

    The dynamics of employee relationships in an ethnically diverse

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    The dynamics of employee relationshipsin an ethnically diverse workforce

     Emmanuel Ogbonna1 and Lloyd C. Harris

    A B S TRA C T This article explores and analyses the dynamics of workplace

    relationships in an organization characterized by a highly ethnically 

    diverse workforce. The specific objectives are: 1) to understand the

    factors that are contributing to high levels of ethnic diversity; 2) to

    uncover the ways in which such diversity is manifested in an organiz-

    ational setting; and 3) to explore the ramifications that this diversity 

    and its manifestations may have for individuals and groups of 

    employees on the one hand and for relations between management

    and groups of employees on the other. The article concludes by 

    discussing the implications that such ethnic diversity may have for 

    extant research and conceptualization of ethnic minorities in the

    workplace.

    KE YW ORD S discrimination ethnic minorities equal opportunities

    language problems managing diversity 

    The issue of managing a diverse workforce is increasingly gaining recognition

    as an important topic of research and theorizing (see Konrad, 2003).

    However, it can be argued that much of the debate in this area has been

    focused on quite narrow issues, with themes revolving on problems of repre-

    sentation and discrimination (for example, Darity & Mason, 1998; Hoque& Noon, 1999; Modood et al., 1998) or discourses of the appropriateness

    of particular conceptual or managerial approaches (for instance, Healy et al.,

    2004; Liff, 1999; Liff & Dickens, 1999).

    3 7 9

    Human Relations

    DOI: 10.1177/0018726706064181

    Volume 59(3): 379–407

    Copyright © 2006

    The Tavistock Institute ®

    SAGE Publications

    London, Thousand Oaks CA,

    New Delhi

    www.sagepublications.com

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    While existing studies have laudably increased the interest of prac-

    titioners and policy-makers in the topics of equality and diversity, a common

    concern is that there has been a tendency to simplify the problems in a desire

    to provide and espouse straightforward analytically driven prescriptions.

    These issues have resulted in a fragmentation of studies; with specific themes

    of diversity (for example, gender) gaining huge research exposure and

    interest while others are relatively ignored. Of particular significance is the

    dearth of research into race in mainstream work and organizational studies

    (see Nkomo, 1992; Williams & O’Reilly, 1998). In addition, it can be argued

    that many scholars of equality and diversity are using antiquated and out-

    dated conceptions of ‘work’ and ‘discrimination’. For example, much

    discussion of labour market discrimination is based on conceptualizationsthat date back to the 1960s and 1970s, a time when intolerance was more

    visibly displayed (see discussions of the construction of ethnicity and disad-

    vantage in Fenton, 2003; Mason, 2000). Similarly, the absence of recent

    empirical evaluations suggests that many studies of discrimination fail to

    account for developments in contemporary organizations which have been

    transformed by demographic, geographic and socio-cultural evolutions (see

    Penn, 2000). In this regard, empirical evaluations are needed that explore

    contemporary workplaces and the ways in which societal and organizational

    transformations are shaping employee experiences and perceptions inrelation to issues of diversity and equality.

    The research presented in this article is an ethnographic study of a

    medium-sized organization in a British inner city.2 The aim is to explore and

    analyse the dynamics of workplace relationships in an organization charac-

    terized by high levels of ethnic diversity. In this regard, our motivation is to

    understand: 1) the factors that are contributing to high levels of workforce

    diversity; 2) the ways in which such diversity is manifested in an organiz-

    ational setting; and 3) the ramifications that this diversity and its manifesta-tions may have for individuals and groups of employees on the one hand and

    for relations between management and groups of employees on the other. As

    such, our study aims to contribute to the literature on ethnic minorities and

    discrimination through the documentation and analyses of the dynamics of 

    relationships in a diverse workforce. Further, our study contributes practical

    insights into human resource issues in contemporary work organizations,

    particularly in the context of a changing demographic environment.

    Prior to the presentation and evaluation of the findings, it is useful to

    provide an overview of the existing research in order to locate our owntheoretical position. Although the review draws from studies of diversity

    and equality in general, our interest is in the convergence of research on the

    specific concerns of ethnic minorities. In this regard, we integrate a brief 

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    overview of the pertinent literature on social groups into our literature

    review.

     Workforce diversity and equality: A review of research

    Studies of workplace diversity and equality have evolved in different direc-

    tions over the last two decades. However, it is possible to categorize research

    into three broad streams; studies of the relevance and appropriateness of 

    particular approaches (whether managing diversity or ensuring equality of 

    opportunities), research into the impact of diversity on organizational

    outcomes, and studies exploring the issues of discrimination in relation toparticular aspects of employment. What follows is a brief review of these

    three strands of research.

    An important debate in the field of managing human resources has

    centred on the appropriateness of the approach adopted by both managers

    and academics in conceptualizing issues of people management. In the 1980s,

    scholars offered opposing models and perspectives on achieving equality of 

    opportunity ranging from ‘liberal’ and ‘radical’ approaches (Jewson &

    Mason, 1986) to ‘short’ and ‘long’ agendas (Cockburn, 1989). However, by

    the 1990s, the discourse had evolved to a consideration of the appropriate-ness of an equal opportunities perspective. In the UK, this debate was stimu-

    lated by the contributions of Kandola and Fullerton (1994a, 1994b) which

    questioned the efficacy of the equal opportunities framework. They argue

    that equal opportunities is characterized by a group-based approach and that

    this has proved inappropriate in conceptualizing and managing the multiple

    particularities of individual concerns as well as in dealing with the problems

    of contemporary organizations. This debate had particular appeal to prac-

    titioners since it coincided with a general reorientation of employee relationstrategies wherein organizations eschewed collectivist relations in favour of 

    individualized relationships (see Kessler & Purcell, 1995).

    Recently, the central theme of discourses on diversity and equality has

    focused on the means of achieving an organizational environment wherein

    all members contribute to their full potential to the success of the business

    (see Cassell & Biswas, 2000). As with all scholarly endeavours, different

    paradigmatic positions have influenced the perceptions of researchers as to

    the nature of the problem under discussion. In the context of this research

    area, this is translated into a question of whether the problem of equality isviewed as a social issue with a moral imperative or whether this is seen purely

    as a commercial problem requiring a business rationale (see Noon &

    Ogbonna, 2001). In this regard, those that view the problem as a moral

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    imperative frequently advocate an equality of opportunity approach with

    interest in compulsion (e.g. Kaler, 2001). Such scholars commonly argue that

    voluntarism has proved ineffective in overcoming discrimination and that

    only serious government intervention can bring about changes in the conduct

    of organizations and managers. However, whereas the equality of oppor-

    tunity perspective is assumed to make fundamental assumptions about

    inequality and disadvantage (see Liff, 1999), the managing diversity

    approach (already dominant in research and practice in the US – see Kochan

    et al., 2003; Konrad, 2003) is said to view such focus as unhelpful (see

    Kandola & Fullerton, 1994a; Ross & Schneider, 1992), concentrating instead

    on viewing employees as individuals with idiosyncratic qualities which should

    be harnessed for competitive success (Johnston & Packer, 1997).Studies adopting a diversity approach explore the academic under-

    pinnings of this perspective as well as the practical driving forces behind it.

    For example, Konrad (2003) asserts that the academic legitimacy of the

    subject of workforce diversity is inevitably linked to power dynamics

    between minority and majority groups. Specifically, she attributes the schol-

    arly interest in the subject to an increase in the representation and power of 

    historically excluded groups in contemporary work organizations. Interest in

    this area has become enshrined in the so called ‘business case’ or the idea

    that having a diverse workforce can be a necessary aspect of business compet-itiveness. Proponents of this view commonly argue that a diverse workforce

    accords an organization greater opportunity to understand and serve differ-

    ent markets, as well as provide a richer pool of workers from which the

    organization can recruit (Cox & Blake, 1991; Richard, 2000). Indeed, some

    scholars have extended this line of reasoning to argue that heterogeneous (or

    diverse) groups are more effective than homogenous ones on a range of 

    organizational outcomes (e.g. Robinson & Dechant, 1997).

    Interestingly, although there is significant interest from academics andpolicy-makers in the business argument for managing diversity, the research

    evidence on the efficacy of this is patchy. A recent major investigation by

    Kochan et al. (2003) found no evidence of positive association between gender

    and ethnic diversity and performance. Indeed, some researchers have noted

    that rather than foster innovation and creativity, diversity may result in

    organizational inefficiency. Such insights can be explained by briefly examin-

    ing theories of group behaviour. Specifically, social identity theory suggests

    that individuals classify themselves and others on demographic characteristics

    such as gender and ethnicity (Brunetto & Farr-Wharton, 2002). In this regard,the membership of a group (for example, an ethnic group) offers an individ-

    ual a source of social identity, while the group becomes a collective represen-

    tation of this identity (see Chattopadhyay et al., 2004; Tajfel & Turner, 1986;

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    Tsui et al., 1992). Researchers working within this perspective have theorized

    a range of performance implications for work groups that are composed of 

    dissimilar individuals on key demographic characteristics (for example, race

    and gender), including conflict behaviours (Hobman et al., 2003), turnover

    intentions and commitment (Tsui et al., 1992) and overall organizational

    innovation (Baugh & Graen, 1997).

    Following social identity theory, it is possible to explain the lack of 

    positive association between gender and ethnic diversity and performance

    reported in the major investigation by Kochan et al. (2003). For example, it

    has been argued that members of diverse groups (particularly minority

    groups or outgroups) frequently provoke distrust and competition (from the

    dominant groups or ingroups) and that such groups tend to show less affili-ation and commitment to each other, all of which may have negative conse-

    quences for performance (see Harrison et al., 1998; Hogg et al., 1993).

    Furthermore, it is suggested that such relationship difficulties are accentu-

    ated where communication is frustrated by linguistic or paralinguistic differ-

    ences between the ingroups and outgroups (Hambrick et al., 1998; Palich &

    Gomez-Mejia, 1999). Thus, whatever the apparent differences may be

    between the dominant group and the minority group (for example, race,

    culture, gender, age, and religion), perceived or actual differences in language

    and communication between the groups are likely to increase the likelihoodof tension and group dysfunction (Swann et al., 2004). Put differently, the

    ‘business case’ may provide the justification for not recruiting diverse groups

    since such groups are by definition likely to encounter social difficulties

    (including social and cultural differences as well as linguistic and paralin-

    guistic problems) which may hamper organizational efficiency. Such poten-

    tial outcome of pursuing the ‘business case’ has been highlighted and

    criticized by many commentators (for example, Dickens, 1999).

    A third strand in the literature on diversity and equality is the explo-ration and analysis of the issue of discrimination and disadvantage in employ-

    ment. Given the focus of this article, the review here is specifically targeted at

    studies that are linked to the experience of ethnic minorities. Interest in ethnic

    minorities and the labour market has come from a wide range of disciplines

    but principally focusing on sociology (see Iganski & Payne, 1999; Jenkins,

    1986; Jewson & Mason, 1994, Modood et al., 1998) and economics (see

    Blackaby et al., 2002; Darity & Mason, 1998; McNabb & Psacharopoulos,

    1981). A consistent theme of research has been the continuing disadvantage

    of ethnic minorities. For example, scholars have explored the nature of thisdisadvantage in relation to recruitment and selection. In a study involving

    speculative job applications by two candidates, one white and the other black,

    Noon (1999) concluded that the white candidate received more favourable

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    replies from the same companies than the ethnic minority applicant. Other

    researchers have examined the position of unemployed people from ethnic

    minority communities and concluded that they are frequently discriminated

    against by organizations which systematically refuse to offer them appropri-

    ate training and opportunities for work experience placements (e.g. Ogbonna,

    1998; Ogbonna & Noon, 1995). Furthermore, researchers have presented

    evidence to argue that, when in work, people from ethnic minority communi-

    ties often experience greater difficulties in achieving promotion (see Jones,

    1993) and empirical research from both the UK (see Blackaby et al., 2002;

    McNabb & Psacharopoulos, 1981) and the US (see Huffman & Cohen, 2004;

    McCall, 2001) report differences in pay and other benefits between ethnic

    minority workers and their white counterparts.Overall, previous studies of ethnic minorities in the labour market in

    relation to equality of opportunities have consistently demonstrated that

    these groups experience considerable disadvantage in all aspects of the

    employment process. Recent contributions in this genre have, however,

    pointed to some improvements in both the conduct of organizations and in

    the success of some groups of ethnic minorities in achieving positive labour

    market outcomes (Hoque & Noon, 1999; Iganski & Payne, 1999). Studies

    of management of diversity have also made significant advances in arguing

    for greater recognition of individual differences in equality research (Barsadeet al., 2000). Our concern in this article is not to evaluate the efficacy of the

    diversity and equality approaches because we agree with researchers who

    argue that the attempt to force a division between the two perspectives is

    futile, counterproductive and frequently superficial (see Liff & Dickens,

    1999; Noon & Ogbonna, 2001). Instead, we argue that existing conceptu-

    alizations adopting both the diversity and equality approaches have a

    number of limitations. First, some commentators have argued that existing

    knowledge is weakened by the assumption of collective altruism (and aneglect of resistance and/or ambivalence) in both the objective and the

    manner in which diversity/equality initiatives are implemented (see Arnold,

    1997; Dick & Cassell, 2002; Prasad & Mills, 1997). In this regard, and as

    is proposed in this study, the literature could be enriched by exploring and

    analysing the ways in which employees (both whites and ethnic minorities

    in this context) perceive themselves and others and the ways in which they

    interact as part of their normal work and life in organizations.

    A second limitation is that there is a dearth of equality and diversity

    research from organizational and general management perspectives (seeNkomo, 1992; Williams & O’Reilly, 1998). Indeed, much existing research

    on diversity and equality are sociological and economic analyses of discrimi-

    nation (see earlier review). Although these studies have made substantial

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    contributions to knowledge, they are frequently devoid of critical analysis of 

    the organizational context and the ways in which such contexts influence

    emerging patterns of relationships. Third, there is a shortage of studies of 

    diversity and equality of opportunities with a focus on ethnic minorities (see

    Blackaby et al., 2002; Williams & O’Reilly, 1998). Finally, a major limita-

    tion of existing conceptualizations is that they are typically based on labour

    market statistics and economic data. In this regard, few studies have provided

    accounts of the lived experience of ethnic minority employees. The study

    reported in this article is designed to contribute to the literature by explor-

    ing and analysing the dynamics of relationships in an organization that is

    characterized by a high degree of diverse ethnic groups.

    Research design and methods

    In order to achieve the aims of this study, it was considered necessary to

    identify a study site with ethnically diverse groups of employees. We gained

    access to a medium-sized organization (identified by the pseudonym

    ‘Harmony Bakeries’) located in a vibrant and highly diverse inner city in the

    UK. The study was conducted between December 2002 and November 2003.

    Data gathering

    The current study employed ethnographic methods to gather data. This

    approach was adopted to reflect our aim of observing and making sense of 

    the actions and experiences of organizational members from their own view-

    points. This approach is also commonly recommended for the study of social

    groups because it produces thick and rich descriptions (see Heracleous, 2001;

    Miles & Huberman, 1994; Schein, 1991). Our approach included someparticipant observation, interviews and document analysis. We adopted a

    case study approach to locate and interpret the events that unfolded during

    the period of data gathering. Given the sensitivity of some of the issues

    involved in the study, minor details have been altered to disguise identities

    of the company, departments and individuals (including the use of pseudo-

    nyms throughout).

    Initially, one of the authors (Researcher A) conducted interviews with

    management staff with a view to clarifying formal relationships and elicit-

    ing espoused company position on a range of issues concerning workrelationships, equality and diversity. A total of 18 executives and managers

    or just over 60 percent of the managerial strength of the company were inter-

    viewed. This researcher also observed one management meeting where one

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    of the issues on the agenda related to the central theme of the research.

    Following the management interviews, Researchers A and C conducted a

    total of 36 interviews with staff at various operative and clerical levels with

    29 of the interviewees being factory operatives. All the interviews conducted

    in this company were audiotape recorded. The interviews lasted between 60

    and 90 minutes on average and were all transcribed verbatim in order to

    capture the full essence of the views of the participants. The research team

    also collected company documents and artefacts including corporate

    promotion videos, company newsletters, training manuals, annual reports

    and a variety of newspaper and magazine cuttings archived by the company.

    Following this initial phase, we reflected on gathered data and were

    able to identify a number of common patterns. Consequently, anothermember of the research team (Researcher B) worked in the company as a

    line operative over a 12-week period. This arrangement was with the agree-

    ment of the company, although it was decided that in the interest of research

    probity, only the Managing Director and the Personnel Manager should be

    aware of this. It was agreed that the identity of all departments, sections and

    individuals would be disguised in any subsequent papers and reports. This

    reduced ethical concerns regarding anonymity and potential respondent

    victimization. While ethical concerns remained, it was felt that the potential

    for negative or harmful consequences for respondents was very limited,consequently, covert data collection was deemed acceptable. Researcher B

    (under the guise of a new employee) went through the process of job appli-

    cation, interview and induction training. Consistent with the company policy

    on all new recruits, the researcher was assigned shift patterns which changed

    every fortnight and by the end of the 12-week period, the researcher had

    worked in all four bakeries in the company and had assisted with routine

    administrative work in Personnel, Marketing and Logistics departments. In

    addition to the observation of work and recording of the incidents thatunfolded during this phase of the research, the researcher spoke to several

    individuals during work, at break times and at informal social gatherings

    outside work. Data generated from this source were recorded in the research

    notebook as soon as possible following the discussion or observation.

    Analysis of data

    Following the recommendations of Strauss and Corbin (1998), we employedopen, axial and selective coding to facilitate the task of analysis. First, ‘open

    coding’ was used to discover and identify the properties and dimensions of 

    concepts in data. This process involved the line-by-line analysis of transcripts

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    and the labelling of phenomena (the label used being informed by the context

    of the response coded). Thereafter, the labels used were reviewed to explore

    the range of potential meanings, leading to a stage where categories and

    subcategories were tentatively outlined. Initially, four factors contributing to

    diversity, six bases for discrimination and four main ramifications were

    outlined (although these were later revised during iterative analysis). Finally,

    open coding culminated with a process during which the properties and

    dimensions of each category was explored. Second, ‘axial coding’ was

    employed to link the core categories together at the level of properties and

    dimensions. This type of coding focused on exploring how each developed

    category related to their subcategories (thus forming a more precise and

    complete explanation of the strategies uncovered). Particular attention wasdevoted to exploring variations in bases for diversity, and the ramifications

    of such diversity. Third, ‘selective coding’ was used as a process of integrat-

    ing and refining theory. Using a combination of researcher memoranda and

    diagrams, selective coding involved the review of analysis to gauge consist-

    ency and logic while exploring outlaying cases, explaining variations, and

    trimming extraneous concepts. To organize this process, a systematic

    approach to the analysis of transcripts was adopted in a procedure akin to

    that of Turner (1981). To improve the validity of these processes, the authors

    conducted the analyses independently. Thereafter, results were corroboratedand reviewed. Although a high degree of agreement was found, four signifi-

    cant disagreements were uncovered. These largely revolved on interpret-

    ations of meanings of quotations from some of the interviewees. Three

    discrepancies were resolved by discussion while the fourth was settled by

    third-party mediation involving another colleague.

    In presenting data, we are aware that our own subjectivity has influ-

    enced our interpretations. Further, we should acknowledge potential

    problems (and opportunities) that arise from introducing the research teaminto the research context. The research team includes members from differ-

    ent races (one black and two white researchers) genders (one female and two

    male researchers) and backgrounds, providing the researchers with flexibility

    with regard to data collection. A white female researcher was tasked with

    the participant observation phase of the study (principally because of past

    experience but also since the other members of the research team had been

    involved with interviewing and were potentially known to the shopfloor

    workers). While consideration was given to the use of multiple researchers

    from diverse backgrounds during this phase of data collection, the benefitsof consistency in data collection and reporting were deemed to outweigh the

    potential advantages of multiple data gatherers. However, this approach

    should also be treated as a potential source of bias (as indeed, it would if the

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    researcher were from an ethnic minority). We are also mindful that a sample

    of one organization precludes any claim of generalizability. In this regard,

    although we concur with researchers who argue that single case studies can

    lead to analytic generalization (see Stake, 2000; Tsoukas, 1989; Yin, 1994),

    we emphasize that our intention was not to seek generalizability. Instead, we

    sought to embrace all the richness and complexity of a real organizational

    setting and to capture the experiences and perceptions of organizational

    members in their own terms (Lincoln & Guba, 1985).

    Findings

    Prior to the presentation of the findings, it is useful to provide brief back-

    ground information on the case company. Harmony Bakeries is a specialist

    manufacturer of cakes whose brands are well known in the British consumer

    market. At the beginning of the study in December 2002, the company’s

    turnover was £40m, two-thirds of which were from the top four food retail

    groups in the UK (for whom Harmony is a dedicated own-brand supplier).

    At the commencement of the study, the company employed 800 people of 

    which 500 were classified as full-time equivalents.3 This figure fluctuated

    throughout the period of the research (particularly leading up to Christmasand Easter) and by the end of the study the organization employed 1000

    people of whom 750 were full-time. The company operates on a tight margin

    or that which Tim (the Managing Director) describes as running a ‘lean and

    mean process at the top and a survival of the fittest operation at the bottom’.

    The profit before tax for the 2002/3 financial year was £2m.

    Consistent with the aims of our study, we begin our findings section

    by elucidating the factors that are contributing to increasing levels of ethnic

    diversity in the organization. Here, our data suggest that difficulties inrecruitment and the approach of management in dealing with business pres-

    sures are important. Thereafter, we consider the ways in which ethnic diver-

    sity is manifested in the organization by highlighting the issues of religion

    and communication which emerged as important in this respect. Finally, we

    discuss the implications of the increasing levels of ethnic diversity, focusing

    on questions of conflict, discrimination and organizational issues.

    Factors contributing to increasing levels of workforce diversityThe previous review of the literature identifies two views on the rationale for

    workforce diversity and equality as; the business case (e.g. Ross & Schneider,

    1992) and a moral imperative (e.g. Kaler, 2001). Our findings suggest that in

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    the case of Harmony Bakeries, increasing levels of workforce diversity are

    driven by a tight labour market as well as the responses of managers to

    competitive pressures. These two issues are discussed below.

     Recruitment difficulties

    There have been several reports discussing the difficulty that certain sectors

    of the British economy are experiencing in recruiting and retaining semi-

    skilled and unskilled employees (see Labour Market Trends, 2003). This

    problem has been more acute in the food manufacturing sector and has

    affected the activities of Harmony Bakeries for many years. Previously, the

    company minimized the impact of this by recruiting extensively from rela-tively poor areas (between 20 and 30 miles from the city and the factory),

    where the traditional industries of steel and coal were in terminal decline and

    unemployment was significantly above the national average. It also encour-

    aged word-of-mouth recruiting and offered £50 to employees who intro-

    duced a recruit that completed three months with the firm. Under this

    informal recruiting system, Harmony Bakeries was mostly staffed by (typi-

    cally white female) operatives from these surrounding communities. This

    approach to staffing was relatively successful until the late 1990s when a

    combination of UK government and European Union grants enticedcompanies to locate in these deprived areas, thus providing jobs locally and

    making it unattractive for people to travel.

    The decline in the number of recruits from the areas surrounding the

    factory impacted on the activities of Harmony Bakeries significantly. Such

    was the magnitude of the labour problem that senior managers identified this

    (in the management meeting attended by Researcher A) as a serious problem

    and one which had massive implications for business performance and profit-

    ability. This was reiterated by many executives during the interviews. AsHuw, the Production Manager, observed:

    We have just secured a new contract from [a leading confectionery

    group] and we need to recruit 100 people in the next few weeks to help

    with this . . . I just don’t know where these people are going to come

    from.

    The organization now relies extensively on the inner-city labour market. The

    current recruitment strategy for operators can best be described as ad hoc oras Debbie (the Personnel Officer) ironically put it, one of ‘being desperate to

    employ anyone that has two legs and two arms’. The company also intro-

    duced regular ‘open days’ where potential recruits are encouraged to come

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    and apply for positions. On the day that the Researcher B went to the

    company to enquire about the process of applying for a job, the researcher

    was given a form to fill, interviewed and told to start work the next day. It

    also emerged that many of the potential recruits that visited on the same day

    were from ethnic minority communities and were sent by the local job

    centres. Researcher B was later told by several people that ethnic minorities

    (particularly new immigrants without English language skills) were attracted

    to the company because of the ease of employment. Given the recent growth

    in the population of ethnic minorities in the city (the city is also one of the

    centres that has absorbed asylum seekers in the UK), the number of new

    recruits from these communities has grown significantly to the point where

    the new immigrant community has become the main source of shopfloorworkers in Harmony Bakeries.

     Management responses to competitive pressures

    In the context of a growing market (the cake market is growing at 5% per

    annum) and a difficult labour market, Harmony Bakeries invested £8 million

    in 2002 to streamline its manufacturing operations. However, the cake

    manufacturing sector remains heavily labour intensive and this has proved a

    significant challenge to human resource managers with implications fordiversity and equality.

    Although the wage levels have remained relatively stable (the average

    new recruit earns £4.87 per hour and this rises to £5.75 for the night shift

    staff), the company has failed to attract a wide pool of workers at operator

    levels. Interestingly, many employees claimed (during the formal and

    informal interviews) that the pay should be higher to reflect the boring and

    monotonous nature of the work. Indeed, this was one of the first topics of 

    discussion during Researcher B’s time on the assembly line. One employee, James (who had been with the company for 18 months), told the researcher

    that there was a high turnover of staff in the company and he attributed this

    to the ‘low wages and mind-numbing jobs’. Researcher B was to experience

    this directly. In one afternoon shift (5–10pm), the researcher spent the entire

    shift putting cherries in the middle of cakes going through a conveyor belt

    at a rate one every 10 seconds. After about two hours of doing this, the

    researcher experienced a degree of physical strain and emotional detachment

    from the job but somehow managed, in an almost automatic fashion, a

    continuous action of picking cherries and putting them in the middle of cakes.

    Faced with the choice of re-designing jobs (to introduce job satis-

    faction) or increasing pay levels (to compensate for the boredom and

    monotony), senior managers concluded that pursuing either strategy would

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    be damaging to company profitability. Indeed, many executives interviewed

    indicated that cake manufacturing was a fiercely competitive business and

    one in which labour costs have to be kept to a minimum to ensure financial

    success. The comments of Steve, the Marketing Manager exemplify this

    point:

    Over two-thirds of our business is with the top four food retailers and

    they are continually squeezing us to try to improve the efficiency of the

    supply chain. This means that prices tend to go down or remain the

    same. As our industry is heavily labour intensive, the only scope we

    have to keep them happy is to control our labour costs. If this means

    that we pay low wages or that the conditions are such that only desper-ate people would work for us, then so be it.

    The combination of the circumstances described above has contributed to a

    radical change in the ethnic profile of staff at Harmony Bakeries. Information

    from the company’s archives of personnel records suggest that in 1990, over

    94 percent of shopfloor workers described themselves in the recruitment

    questionnaire as white British, 3 percent classified themselves as British-born

    ethnic minorities and just over 1 percent indicated that they were members

    of different immigrant groups. By 2002, this pattern had changed completelywith just under 50 percent categorizing themselves as white British and over

    40 percent indicating that they were from ethnic minority communities (with

    only 5 percent of these being British-born). Unfortunately, the company did

    not maintain detailed records of nationality of its employees. However, our

    interviews indicated that employees were drawn from a wide range of nation-

    alities including Britain, Iraq, Iran, Egypt, Nigeria, Somalia, Macedonia,

    Czech Republic, India, Pakistan, Turkey, Israel and Palestine.

    Linked to the problem of recruitment is the difficulty in retaining staff once they are employed. The problem of retention at operator level is so

    acute that the Personnel Department claimed that they no longer maintained

    turnover records since this fluctuated so much from day-to-day. However,

    information from the company’s personnel archives (2001 Year End Person-

    nel Review) suggested that labour turnover was 70 percent for people that

    were recruited between January and June 2001. The Managing Director

    confirmed that in order to address this problem, the company had reduced

    the qualifying period for confirmation of employment from 12 to 6 weeks.

    However, this does not appear to have improved the rate of turnover as overhalf of the people that were appointed in the same week as Researcher B had

    left the company by the end of this researcher’s 12-week period of work and

    observation. Given the unattractive nature of the jobs on offer and faced with

    a declining white population (along with a strategy of cost minimization),

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    management chose to focus its recruitment efforts on ethnic minority

    workers. This provides some support to the business case argument for

    managing diversity (see Cox & Blake, 1991).

    Experiencing diversity

    The blend of nationalities has contributed to interesting dynamics of relation-

    ships in the workplace. Our findings suggest that two of the most important

    ways in which diversity was manifested were in issues pertaining to religion

    and those regarding language and communication.

    Issues of religion

    The ethnic mix in the company has had some ramifications for religious

    issues. Of particular significance is that most of the ethnic minority staff are

    practising Muslims with strong religious beliefs and outwardly apparent

    manifestations (e.g. headwear) and practices (e.g. prayer traditions). The

    consequences can be profound where religion is fused with culture. For

    instance, Researcher B noticed that some of the ethnic minority men were

    always isolated from women. One especially vocal employee, Ali (a male),explained this segregation to the researcher as a relic of the culture and

    religion of many of the minority groups. As he noted:

    Our religion and culture are such that men are breadwinners and they

    are not supposed to do dirty jobs . . . Most of the jobs here are demean-

    ing and they [the men] do not like their women to see them doing these

    jobs . . . You have to understand that this will reduce the respect the

    women have for them outside of the workplace.

    Ali’s comments are set in the context of the interconnected webs of family

    relationships, friendships and ties that link many of the workers outside of 

    the work environment. In this regard, it appeared that the outcome of the

    company’s policy of encouraging word-of-mouth recruiting was similar to

    that which obtained in the factory in the 1980s and 1990s wherein friends

    and relatives of existing employees became the major beneficiaries. A particu-

    larly pertinent example is that 13 of the 29 Pakistani employees with whom

    Researcher B worked on one night shift indicated that they had relativesworking for the firm.

    During one induction training which Researcher B attended, Debbie,

    the Personnel Officer, highlighted religious sensitivity as an important issue

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    which should be observed by all the new recruits. The new recruits (11 new

    people of which seven were from ethnic minorities, six of whom claimed to

    be Muslims during conversations with Researcher B) were told that the

    company took the issue of diversity and equality seriously and that an

    example of this was the provision of a dedicated prayer room for Muslims.

    Indeed, as the new recruits were taken round the factory Researcher B noticed

    a sign on a door that said ‘Islamic Prayer Room’. During the lunch break on

    the third day, the researcher walked back through this corridor and opened

    the door to the prayer room. The Researcher turned on the light to reveal a

    small space (around 2 meters by 2 meters) with dirty floor and old cardboard

    boxes leaning on the wall. This room was above a suspended ceiling over the

    factory and was very noisy from the work on the factory floor. It emerged inconversation with three long-serving staff members that there was a previous

    problem in the company which involved Muslim workers demanding a prayer

    room and the company responded by providing this space. In some respects,

    this provides partial support for the argument of some researchers that the

    increasing visibility of minority groups is providing them with some power

    capacity (albeit limited) to demand improvement in the way they are treated

    in organizations (see Konrad, 2003).

    Language and communication

    The interviews and work observation show that the variety of languages

    spoken in this organization was an important factor which influenced the

    nature of individual and group relationships. Of particular significance is the

    role of language in the construction of discrimination and difference. It

    appeared that, consistent with the work of social identity theorists (see Baugh

    & Graen, 1997; Brunetto & Farr-Wharton, 2002; Tsui et al., 1992),

    language became the focal issue through which individual employees definedtheir similarity to others. For example, shopfloor workers tended to develop

    social affiliation and friendships that were based on language similarity, with

    the two most prominent languages being Arabic and Urdu. Such was the

    degree of comfort that people found in these social groupings that they

    frequently asked to be put in the same shift with members of their friend-

    ship group and often stayed together during breaks.

    However, language also became an important element in the definition

    of ingroups and outgroups (Hambrick et al., 1998; Palich & Gomez-Mejia,

    1999), with outgroups especially targeted for resentment and criticism. Forexample, although it was clear from the interviews that many of the ethnic

    minority workers could not communicate effectively in English,4 language

    and communication problems became contested and were interpreted

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    differently by English-speaking organizational members. Some people

    believed that language difficulty was a genuine barrier which placed a limit

    on the communication ability of the immigrant employees. As Janet, a Super-

    visor, argued:

    I feel for these people. You’ve got to put yourself in their shoes and

    imagine how difficult it would be to get on in a different country and

    a language that you can barely understand . . . I do my best to help

    them even though this always slows things down . . .

    However, it appeared that the majority of the English-speaking employees

    were not convinced that the language problem was genuine. Indeed, several

    white interviewees blamed the ethnic minority workers for their inability to

    speak the language. As Joe, a white Machine Operator argues:

    They [immigrant ethnic minorities] talk more in their own language

    than they do ours sometimes even when speaking to us. You know

    some of them are very very funny about speaking English and most of 

    them can’t speak the language.

    Others believed that language was often a smokescreen by ethnic minority

    employees designed to minimize their workload. This was a regular topic of 

    conversation during breaks. James, a Machine Operator captured the feelings

    of many white employees on this issue:

    These people get away with murder just by pretending not to under-

    stand the language. Many of them have been here for donkeys years

    . . . It is just not acceptable that they don’t learn to speak English.

    Ramifications

    Our study also highlights three main ramifications of the increase in work-

    force ethnic diversity and the associated religious and language concerns.

    These issues are discussed under the headings of conflict, discrimination and

    organizational issues.

    ConflictOur analysis suggests that there are high levels of religious-motivated conflict

    and racial conflict in Harmony Bakeries. Taking the issue of religious conflict

    first, interviews with white and ethnic minority workers indicated that there

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    was a recent history of religiously motivated clashes between groups. Anec-

    dotal evidence reveals several arguments between Christian groups and

    Muslims and more rarely (apparently on one occasion) between two Pales-

    tinian workers and a Jewish man. However, of particular significance was

    the fight that broke out between two Muslim sects (Shiites and Sunnis) in

    March 2003. Although the company played down the significance of this

    during the formal interviews, Researcher B who was present when the fight

    took place during a night shift was later told that the fight broke out as two

    groups of Iraqi refugees were arguing over the religious ramifications of the

    invasion of Iraq in 2003. The police were called and the company later

    confirmed that the men were dismissed.

    There have also been several examples of conflict between differentethnic groups. Interestingly, such conflict occurred not just between white

    employees and their ethnic minority counterparts but also between and

    within different groups of ethnic minority workers. For example, Researcher

    B witnessed several incidences of friction and conflict between Arabs and

    black employees and between different groups of Somali workers. A particu-

    larly noteworthy example is that Researcher B was told by informants that

    due to a previous history of conflict between Indian and Pakistani employees,

    managers tried to keep these groups of workers apart by allocating them to

    different shifts. Jason, a Night Shift Manager, explained the nature of suchconflict:

    The problems that we have seen have come from ethnic groups failing

    to interact with each other and that has led to violence . . . Some of 

    the Indian and Pakistani groups are good examples of this . . . Some

    people go as far as refusing to work together on the same line . . . There

    is a lot of anonymous informing on each other by telephone, we’ve had

    symbols put on lockers and we’ve had actual violence between peoplein and off site . . . We used to have isolated incidents of violence in

    previous years but it has become more regular now . . .

    However, the majority of conflict reported by respondents occurred between

    white employees and their colleagues from different ethnic minority groups.

    Interviews and observation of work suggest that there is little integration

    between white employees and their ethnic minority counterparts. Such is the

    problem of integration that in some cases there is limited communication or

    contact between ethnic minorities and their white counterparts. Simon, aNight Shift Technician, suggested that some of the tensions result from what

    the white employees perceive as the greater latitude given to ethnic minority

    staff particularly when they break company rules. As he explained:

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    They come in here and they disregard many of the rules and they get

    away with it. Last week, my friend was fired for smoking outside in

    the yard. It was the first time he did it . . . The ethnic minority staff do

    it all the time and when they are caught they simply say ‘no English’

    and they leave them with a warning . . . It’s like there is one rule for

    them and another one for us.

    On their part, ethnic minority employees interpreted the conflict with their

    white counterparts differently. Many pointed to what they perceived to be a

    lack of respect shown to them by their white colleagues, with some suggest-

    ing that the white employees disliked them because they believed that they

    (ethnic minority workers) threatened their job security. One Indianemployee, Rakesh, notes:

    I had an argument with John the other day [a white employee] and he

    told me to go back home. He said that if we did not come here to work

    they would be able to get more money from the managers.

    Such feelings of distrust and perceptions of competition have been identified

    as key factors that contribute to the inefficiency of socially diverse groups

    (see Harrison et al., 1998; Hogg et al., 1993). In the current case, it alsoemerged that work-related incidents frequently evolved into major disputes

    which sometimes resulted in fights outside the workplace. Mustapha, an

    ethnic minority employee, claimed that an altercation with his white coun-

    terpart resulted in a major fight outside the factory which led to him being

    taken to hospital.

    Discrimination

    The interviews and observation of work suggest that many members of the

    ethnic minority communities believe that they are discriminated against in

    the organization. Direct evidence of such discrimination was difficult to

    uncover during the research although there were examples of attitudes and

    behaviours which could be deemed to be discriminatory. Of particular signifi-

    cance was the existence of what may be characterized as discrimination based

    on language skills. In this regard, it appeared that there was an unwritten

    but widely practised policy of not recruiting or promoting members of ethnic

    minority communities (particularly the new immigrants) into certain‘premium’ posts because it was assumed that their perceived lack of English

    language skills would make it difficult for them to cope. Steve, the Market-

    ing Manager, captured the view of many managers on this issue:

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    We don’t think that they can pursue real career jobs in this company.

    They simply don’t have the capability to cope with the language

    demand. It is fine at the lower levels where we can try and minimize

    the level of communication and interaction they need to do the job . . .

    Administrative and supervisory jobs are entirely different propositions.

    Amanda, the Personnel Manager, recounted a story of a particularly hard-

    working ethnic minority employee who was offered a supervisory role but

    who later resigned because he could not cope with the pressures of the job.

    Similarly, the comments of Neil, the Engineering Manager, and an out-

    spoken critique of the company’s strategy of employing immigrant ethnic

    minorities suggested the possibility of discrimination not just based onlanguage skill but also in relation to general employment and promotion

    decisions. As he argued:

    You have to understand that these coloured people are not like us.

    There are certain jobs that they can’t do and I feel that engineering is

    one of those jobs . . . They are not trained to think laterally and they

    often have difficulty in problem-solving situations.

    Interestingly, there were no members of the ethnic minority communityworking in the engineering section in the company.

    Ironically, these examples are self-fulfilling. To this extent, they have

    come to represent the ‘construction of disadvantage without self guilt’, in

    that the organization and its managers appear to have abrogated responsi-

    bility to promote fair employment policies. Indeed, by pointing to lack of 

    language skills and inability or unwillingness to adjust to what white

    managers interpret as ‘British’ culture, the managers in this organization

    appear to be blaming the ethnic minorities for their own misfortunes ratherthan the apparent unfairness in the company’s recruitment and promotion

    practices. This point is captured by the comments of Halima, a Pakistani-

    born employee:

    These people don’t like us. They make it obvious all the time. They

    only give us jobs that no one wants. If they really want to ensure

    fairness here they should look at the attitudes of those at the top. They

    mostly turn a blind eye when we are discriminated against.

    Another example which ethnic minorities perceived as indicative of discrim-

    inatory attitude was the use of derogatory terms such as ‘coloured’ to refer

    to them. This term was recorded in nine different interviews and was also

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    the term that was used in general conversations which Researcher B

    witnessed in the staff rooms. Several interviewees from ethnic minority

    community groups commented on the negative impact of being referred to

    in such disparaging ways. As Ikenna, a Nigerian employee observed:

    I can’t believe that people in authority will refer to employees as

    ‘coloured’ in this day and age. It is like going back to the civil rights

    movement in America in the 60s or the apartheid regimes of South

    Africa in the 70s and 80s.

    Femi, a British-born ethnic minority employee, was particularly affected by

    the use of this term. He indicated that he expressed disapproval towards theuse of this term and even launched an unsuccessful formal grievance against

    a supervisor who referred to him as ‘coloured’. Femi left the firm towards

    the end of the study.

    Interestingly, many white employees also believed that some aspects of 

    the ways in which they were treated by the company amounted to discrimi-

    nation and unfair treatment. In this sense, they argued that the language

    deficiency of many ethnic minority employees routinely resulted in extra

    workload for them. As Jon, a Production Operative, noted:

    We are paid the same money as these people yet there are certain

    difficult jobs that they don’t do. When you’re on decorating and there

    are four of you with two whites and two blacks, you know that the

    whites will be expected to work harder and will be held responsible

    when things go wrong. The blacks just get away with the easy jobs

    with no responsibility.

    Organizational issues

    Although several aspects of the relationships in a company such as Harmony

    have organization-wide ramifications, it is the issues of health and safety and

    hygiene that emerged as significant. A particular source of concern was the

    number of potential breaches of Health and Safety regulations that were

    uncovered during the study. This problem was rationalized in different ways

    by different groups of employees. For example, white employees generally

    linked this to language difficulties of many ethnic minority workers which

    made it difficult for them to understand written instructions. As Huw, theProduction Manager, noted:

    The limited amount of English that people speak here does give us a

    problem, especially when it comes to health and safety. Their writing

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    abilities can be a problem as well. They are supposed to check the code

    before they pack it and some can’t read . . . You’ve got to recognize

    those people and put them in areas where it won’t be detrimental to

    the company . . .

    However, an alternative interpretation is that the management of this firm

    is failing in its legal obligation to health and safety in the workplace. For

    example, although it was clear that many of the new recruits did not under-

    stand the Health and Safety regulations, they were allowed to operate

    machinery which could put them and other employees at risk. Whilst the

    research team were unable to obtain access to records detailing staff acci-

    dents, there were several uncorroborated accounts of injuries which wereclaimed to have resulted from not adhering to Health and Safety regu-

    lations. This issue was a continuing source of conflict between management

    and employee representatives. Towards the end of Researcher B’s observa-

    tion and work, managers introduced posters in Urdu and Arabic through-

    out the shopfloor to help in communicating the central messages of health

    and safety.

    A related problem is linked to the issue of hygiene. In this regard, our

    findings suggest that there were a number of misconceptions regarding the

    personal hygiene of ethnic minority groups. Indeed, Researcher B noticedthat there were some parts of the lavatory that had been unofficially desig-

    nated as a ‘Muslim’ area by the white employees because of the perception

    that certain cultural and religious practices of this group were inconsistent

    with good personal hygiene. Linda, a Dry Mixer noted:

    The Muslims have their own part as they’ve got their own beliefs and

    that’s why we won’t go there.

    The issue of hygiene was also raised by several other interviewees par-

    ticularly in relation to adhering to rules and regulations regarding the

    cleaning and general maintenance of machines. Whilst there were no direct

    evidence of breaches of hygiene regulations, David, a Hygiene Supervisor,

    argued that the limited language skills of many ethnic minority employees

    often resulted in cleaning instructions not being followed. He noted that this

    increases the pressures on supervisors and other employees who are required

    to work harder to ensure that machines and other materials are cleaned

    properly. This issue was a continuing source of frustration that was articu-lated by the more vocal members of the ethnic minority workers. Many

    believed that the discourse around the issue of hygiene concealed a more

    sinister attempt by the white employees to discredit and dehumanize them.

    As Femi argued:

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    Any practice they [the white employees] don’t understand is viewed as

    barbaric and when they add them all up they become convinced that

    we are subhuman . . . Do they honestly think that our personal hygiene

    is any different to theirs?

    Conclusions

    The aim of this study was to explore and analyse the dynamics of relation-

    ships in an ethnically diverse workforce. The study revealed interesting

    insights into the factors that contributed to high levels of workplace ethnic

    diversity, the ways in which such diversity was manifested and the rami-fications for the firm and the individuals and groups concerned. The

    remainder of this article is dedicated to discussing the implications of the

    findings.

    The first implication of the study arises from the finding that a major

    factor that contributed to discrimination was linguistic ability. This finding

    is concordant with recent research which argues that direct forms of discrimi-

    nation are becoming increasingly less prevalent while indirect, subtler forms

    of discrimination are becoming more common (see Deitch et al., 2003). Inter-

    estingly, although many of the interviewees indicated that they did notdiscriminate on the conventional bases (e.g. skin colour, gender, disability

    and age), informants freely admitted to discriminating against those that they

    perceive to have difficulties communicating in English (even when communi-

    cation was not a pivotal part of the role). For example, supervisors accepted

    that it was common practice not to promote those whose written skills were

    known to be poor even when such promotions did not include any new

    writing requirements. Similarly, evidence was found of endemic discrimi-

    nation on the basis of oral communication skills. In this sense, individualsfrom ethnic minority communities appeared to be especially susceptible to

    not only ‘horizontal’ discrimination (from their work colleagues) but also

    openly admitted ‘vertical’ discrimination (from hierarchical superordinates).

    These findings suggest a need to reconsider and re-evaluate theories and

    prescriptions in order fully to incorporate the invidious effect of the common,

    but previously understudied, effects of language-based discrimination. While

    earlier studies of discrimination have understandably focused on the most

    tangible typologies of discrimination, for example race (see Deitch et al.,

    2003), gender (see Darity & Mason, 1998) and disability (see Bruyere & James, 1997) the findings of this study suggest a need to focus on subtler and

    less direct forms of discrimination. In this regard, this study contributes to

    the literature through the finding of discrimination on the basis of perceived

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    language skills and abilities. In this sense, our study highlights the need to

    adapt and evolve conceptions of discrimination as society evolves.

    Linked to the above is a contribution that centres on the bases of 

    discrimination revealed in the case company. Whilst recognizing that the

    employees of Harmony Bakeries are particularly diverse (for reasons

    discussed previously), the wide range of different bases of discrimination

    uncovered constitutes a revealing empirical contribution. Interestingly, 30 of 

    the 36 frontline operatives interviewed believed that they were discriminated

    against. While recognizing that strong evidence was forwarded by inform-

    ants regarding some of the more widely discussed bases of discrimination

    such as colour, race, ethnicity, class, gender and sexual orientation, support

    was also found regarding other diverse bases of discrimination includinglinguistic ability (discussed above), location of home (city versus country),

    age (both young and old), accent (in all languages), country of birth, school-

    ing, weight and number of languages spoken. While supporting evidence is

    found that concords with some theorists’ calls for additional empirical

    research into a wider range of bases of diversity (see Barsade et al., 2000),

    such explorations should be conducted tentatively and should acknowledge

    and address the concerns of Konard (2003) that such ‘widening’ could

    detract from the central issue of discrimination. In this regard, such studies

    could explore the impact of incorporating wider bases of diversity for indi-vidual and group discrimination.

    Another contribution of the study relates to extant conceptualizations

    and theories of ‘ethnic minorities’. Although some researchers have acknowl-

    edged the difficulty of applying abstract categorizations to a multi-faceted

    construct such as ethnicity (see Fenton, 2003; Modood et al., 1998), studies

    continue to treat ‘ethnic minorities’ as a heterogeneous group. In the current

    study, numerically, workers from ethnic ‘minorities’ form the majority of the

    shopfloor workforce. Whilst it must be acknowledged that ethnic minoritieswere significantly under-represented at managerial levels, and that while in

    the majority on the shopfloor, the range of ethnic groups was remarkably

    diverse and heterogeneous, the term ‘ethnic minority’ appeared inappropri-

    ate for this context. Indeed, in the current study, strong evidence emerged to

    support the view that the term ‘ethnic minority’ in the study of discrimination

    may be misleading (in that the ‘minority’ group were white, British males)

    and vague (in that, given the wide range of ethnic groups, the basis of simi-

    larity was tenuous). Thus, our study contributes to the literature by positing

    the view that the term ‘ethnic minority’ can be inappropriate unless appro-priately qualified (such as, for example, British-born ethnic minorities, immi-

    grant ethnic minorities and non-English-speaking ethnic minorities). Such

    qualification should improve the clarity of definitions and communication

    Ogbonna & Harris Employee relationships in an ethnically diverse workforce 4 0 1

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    and ensure that the most vulnerable minorities are considered and that the

    problems of the indigenous minorities are not overlooked or ignored. In

    particular, we argue that the term immigrant ethnic minorities should be

    incorporated into the lexicon of research on ethnicity and discrimination at

    work.

    The findings of this study also suggest a need to re-evaluate conceptu-

    alizations of discrimination in the workplace. Whereas previous studies have

    tended to conceptualize discrimination largely in relation to whites and

    ethnic minority groups (see, for example, Hoque & Noon, 1999; Jenkins,

    1986; Ogbonna, 1998), our study shows that discrimination is best presented

    as multi-faceted, in that it occurs between and within different groups, with

    each facet having different (but sometimes cumulative) ramifications for theindividuals and groups concerned. For example, the discriminatory practices

    of white managers in the case company may have social and economic impli-

    cations for the victims, while the consequences of acts of discrimination

    between Indian and Pakistani employees or between Muslim men and

    women in the same organization are more likely to be social in nature. This

    suggests a need to integrate the complex nature of inter-relationships that

    characterize contemporary organizations in conceptualizing the nature and

    consequences of discrimination.

    This study also contributes insights into the debates on whether theissue of equality of opportunity should be viewed as a moral imperative (see

    Kaler, 2001) or whether the business rationale should be assumed to be para-

    mount (sees Ross & Schneider, 1992). In the first instance, support is found

    for the business argument, in that, for the case company, the employment of 

    workers from diverse backgrounds and cultures as well as a high proportion

    of female workers has assisted the organization to sustain its competitive

    position and generate both growth and profits. In this regard, the business

    case is supported in the short term. However, in the longer term, the veracityof the business case for diversity and equality of opportunities is more ques-

    tionable. Indeed, creating a legislative policy vacuum in dealing with various

    problems of ethnic minority communities (for example, in the area of 

    language discrimination) means that the fate of ethnic minority employees is

    placed squarely in the hands of individual employers. Although, proponents

    of the business case will argue that this organization could have done more

    to minimize the language problems reported (for example, the translation of 

    documents, providing language lessons and using interpreters), it is clear that

    many organizations, particularly those whose primary motive for hiring anethnically diverse workforce is cost minimization, may be reluctant to engage

    in such investments.

    The above point highlights the importance of commercial exigencies in

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    discussions of discrimination at work. While this organization was seemingly

    complying with the laws on recruitment (by recruiting from all sections of 

    the community), it was nevertheless flouting (albeit indirectly) many aspects

    of the legislation by not providing a safe working environment for all its

    employees. This suggests that the interpretation of work-based legislations

    may be subject to commercial concerns. Thus, in some ways, it could be

    argued that the duties of care and equal opportunities are not always

    mutually compatible (in that, through not discriminating, health and safety

    could be compromised). However, this argument is premised on the assump-

    tion that the difficulties of recruiting from an ethnically diverse population

    are insurmountable while the fallacy of this suggestion is illuminated by the

    excellent efforts of many UK Local Authorities to facilitate multiculturalworking environments (e.g. use of interpreters, hands-on health and safety

    training and the use of migrant ‘team-leaders’ as communicators). Hence, a

    more logical conclusion is that if organizations expect to reap the rewards

    of a culturally heterogeneous workforce (see Robinson & Dechant, 1997),

    then there is a need to invest time and effort in policies, training and

    procedures that support such an environment.

    Future extensions to this study could overcome some of the limitations

    of the current study. In particular, four avenues of further research appear

    especially worthy of consideration. First, the focus of the current study wason exploring employee relationships and dynamics in an ethnically diverse

    context. In this regard, while recently immigrated workers were interviewed,

    the focus of the current study was broader. Future research could concen-

    trate on such workers and specifically follow an approach designed to

    research this understudied category of workers. Indeed, given recent EU

    expansion, public concerns, demographic changes and a wide range of other

    factors, it seems likely that this issue will become increasingly important and

    contentious. Second, given the prominence of discrimination on the basis of language, accent and linguistic ability, future studies could concentrate on

    exploring and describing such discrimination in alternative organizational

    contexts. In particular, service contexts that involve considerable human

    interaction via language without visual cues regarding colour and race (such

    as call centre operations) deserve attention. Third, the literature on diversity

    and equality would be enriched by a more focused analysis of the issues

    raised in this study using specific theoretical frameworks (for example, an

    organizational culture perspective). Finally, the issues raised in the current

    study require further research in a broader range of contexts. In contrast tothe case company that had a highly diverse workforce, further extensions to

    the current study could explore these issues in organizations currently less

    diverse as well as in different types of firms, sectors and countries.

    Ogbonna & Harris Employee relationships in an ethnically diverse workforce 4 0 3

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    Acknowledgements

    We acknowledge the helpful comments of the reviewers and the editor and we

    would like to thank Claire Palmer for her assistance during this research.

    Notes

    1 Correspondence concerning this article should be addressed to Emmanuel Ogbonna.

    2 Given the argument that conceptions of ethnicity are socially and culturallyconstructed and contested (see Fenton, 2003; Modood et al., 1998), the context in

    which this article is set and the focus of much of the discussion is the UK. However,we recognize that there are significant insights to be gained from other contexts,

    most notably the US where it can be argued that some aspects of diversity research

    are more advanced (see Williams & O’Reilly, 1998), and we have included many of these insights to advance our arguments.

    3 The study was conducted between December 2002 and November 2003. Thus, datawere collected prior to the implementation of the Employment Equality (Religion

    or Belief) Regulations 2003 that came into force on 2 December 2003.

    4 The participant observation work by Researcher B revealed the significance of language difficulty. At the induction training involving Researcher B, the new

    recruits were given a form to complete (name, address, date of birth, position applied

    for, date and signature). Five of the recruits that were sitting nearest to ResearcherB looked confused and put the forms in their bags. These five recruits also appeared

    to be reading the wrong pages on the induction booklet as Debbie (the Personnel

    Officer) took the recruits through the document. At the end of the induction thePersonnel Officer asked everyone to sign and submit their induction forms. It became

    clear that many of the recruits neither understood nor completed the forms and thisprompted Debbie to say: ‘If you’ve got a problem writing things down, just let me

    know and you don’t have to write anything . . . We know that for some people, penand paper don’t go together and that’s not a problem here at Harmony Bakeries’.

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    Human Relations 59(3)